Research On The Impact Of The Formal Transformation Of Informal Entrepreneurship On Entrepreneurship Performance Based On Institutional Theory

As an entrepreneurial activity in the informal economy,informal entrepreneurship has shown a rapid development trend in recent years because it helps low-income groups to find employment and increase their income.However,informal entrepreneurship will also bring a series of destructive problems,such as the lack of protection of the legitimate rights and interests of entrepreneurs,unfair competition for formal entrepreneurship,tax loss,violation or evasion of relevant laws and regulations,and environmental pollution.Therefore,formalized transformation is an inevitable requirement of society for the growth of informal entrepreneurial enterprises.Compared with the flourishing informal entrepreneurship practice,there are fewer scholars studying informal entrepreneurship in domestic academic circles,and a small amount of relevant research focuses on the connotation,motivation,and results of informal entrepreneurship,and there are few research results related to the formalization and transformation of informal entrepreneurship.number.As a form of entrepreneurship that many entrepreneurs prefer,how does the formal transformation of informal entrepreneurship affect their entrepreneurial performance,whether it improves entrepreneurial performance or leads to performance degradation? If formalized transformation helps to improve entrepreneurial performance,then formalized transformation is of course a rational choice for entrepreneurs;if formalized transformation reduces and impairs the entrepreneurial performance of some enterprises,why are there still a large number of informal entrepreneurial enterprises that experience initial informal operations Post-choice formalized transformation? For these issues,there is currently a lack of in-depth research in domestic academic circles,resulting in insufficient understanding of the mechanism of informal entrepreneurship formalization transformation in academic circles,and it is difficult to propose effective methods to guide informal entrepreneurship formalization transformation.On the basis of systematically reviewing relevant research at home and abroad,informal entrepreneurship is regarded as a continuous variable,and formalization transformation is divided into "reasonable and illegal purpose and reasonable and illegal means","reasonable and illegal purpose but legal and reasonable means","legal and reasonable purpose" However,there are four types: "reasonable and unlawful means" and "means of purpose is reasonable and legal".And introduce institutional pressure(rule pressure/normative pressure/cognitive pressure)and imitation isomorphism to explore the moderating effect of informal entrepreneurial formalization transformation on entrepreneurial performance.In this way,a theoretical model of the impact of informal entrepreneurship formalization transformation on entrepreneurial performance is constructed.Finally,based on the grounded theory method,through a multi-case analysis,the theoretical model of the impact of informal entrepreneurial formalization transformation on entrepreneurial performance is tested.After research,it is found that: both the legalization of means and the legalization of objectives in the formalization of informal entrepreneurship have caused a short-term decline and long-term increase in entrepreneurial performance,and the overall U-shaped growth;institutional pressure,regulatory pressure,and cognitive pressure The formal transformation of informal entrepreneurship has a positive regulatory effect on entrepreneurial performance;the impact of imitative isomorphism on the entrepreneurial performance in the formal transformation of informal entrepreneurship also has a positive regulatory effect.This enlightens the government to improve the system reform,promote the formal transformation of informal entrepreneurs,strengthen the promotion of corporate formalization,and at the same time strengthen the supervision of formalization procedures in rural areas;informal entrepreneurs should take the initiative to raise their awareness of formal operations and pay more attention to similar enterprises and businesses in the industry.The behavioral decisions of successful companies to accelerate the improvement of operating efficiency and benefits,and finally bring about a win-win situation for society and entrepreneurs.